Slide content:History of Health Care Financing in the U.S. Late 19th and early 20th century Care provided at patients or doctors home Self-pay/charity payment for services Increasing advancement of medicine AMA standardizes medical education Medical care moves Commercial health insurance not available Unpredictability of health Moral hazard 6

Slide notes:The history of the health insurance industry in the United States is relatively recent. In the late 19th and early 20th centuries, medical care was provided primarily at the patients or the doctors home . The cost of care was borne by the patient or charities . The view of medicine as a science grew as advancements in such areas as infectious disease and surgery improved the lives and health of the population . Early in the 20th century, the American Medical Association began to standardize the training that new doctors received, and the quality of care improved . Medical care for illness began to move from the home to the doctor's office and hospitals . During this time, commercial health insurance was not available, as insurers could not predict the risk or cost due to the unpredictability of health. There was also what was called the moral hazard, the risk that people would behave differently regarding their health, knowing that part of the risk would be paid for by someone else. 6